Tuesday, September 9, 2025
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Role of HR Communication in Times of Economic Uncertainty

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Just when we believed the world was settling down to a semblance of normalcy after the Covid crisis and the Russian crisis, we were re-introduced to the depressing R(recession) -word. A recent McKinney quarterly survey spoke about a bleak economic outlook for the second half of 2022. Coming on the heels of a long phase of economic uncertainty the proverbial light at the end of the tunnel seems to be a long way off.

While CEOs and Business Planning & Strategy functions of organisations battle the economic uncertainty by adopting change management and risk management principles, what can HR teams do to supplement their efforts?

Here are a few suggestions for HR champions to consider while they promote people management practices to cope with the new phase of economic uncertainty. 

Catalyst for Employee Communication

The environment of uncertainty is the perfect backdrop for rumours. Hence it’s vital to strengthen internal communication networks. Not stopping at the surface level celebration or contests but the ones that provide more meaning and direction to the extra efforts required to tide the storm.

Revival of the Basics

Our team is working on a Revival project that includes a series of workshops to ensure that all employees are re-introduced to the Vision, Mission, and Values of our team that seeks to connect their journey to the overall direction of the organization.

Our CEO does not shy away from addressing the fact that though there can be some clients impacted by cost pressures, there are others who are more than willing to explore new collaborations because of the value our team brings to the table.

Business- Leader- Facilitators

A model that I first witnessed at IBM, there seems to be no better way to engage talent than to have strong communicators from respected business leaders. 

During periods of gloom, these trusted leaders act as beacons of hope to reinforce positive messages. When middle managers aren’t effective, we lose a precious link in the chain of communication.

Hybrid

Infrequent in-person interaction makes it all the more important to consciously communicate and overcome the perils of remote working where it’s easier to assume than clarify whenever there are bottlenecks.

Based on the context ( ie complete Work from Office or a mix)  HR interface can facilitate exceptions for those in need and help employees re-connect through innovative initiatives to counter the resistance to change.

Staying Connected

With team members across the miles in a manner that makes them feel ‘human’. Frameworks and follow-ups cannot work unless the leader of the pack helps to unleash the energy into action.

In a recent session, it was so heartening to note the team members share an appreciation for a leader who had helped them navigate immense client pressure and uncertainty

Leader Development

Who can underestimate the value of a leader who can think coolly under crisis? If there were another focus area for the HR team, it would be leadership development (not necessarily classroom sessions but methods to identify and nurture and promote the leadership talent which emerges in the crisis.

Invest Wisely

Be it Talent or the latest Tech tool that promises to enable work, being vigilant on cost and ensuring each penny is spent wisely – will lead to long-term ROI.

HR teams can play a vital role in being the catalyst for employee communication and leadership development initiatives so investing in these initiatives can seem counterintuitive in the short term but makes sense despite the economic uncertainty.

Fears of New Recruits

The fear and uncertainty around the economy can often translate into worry for new recruits: Will I be the victim of a round of restructuring? Depending on the cultural core of the organization these fears might need to be allayed by HR

While there appears to be another long phase of economic uncertainty, the road ahead could help us sharpen our skills, and build greater perseverance that will help us in the long term. The covid phase taught us that necessity is the mother of invention. Armed with the skills we developed in that phase – we can forge ahead, confident that some of the answers to mental health and well-being might take time to evolve and be put into practice.

However, if we focus on taking along the entire team, keep channels of communication open and look out for technical innovations and practices – we might be able to face this uncertainty in a calm manner. While we brace up for the storm, we need to remember that like most storms – this too shall pass and we will be the better and wiser for it if we adhere to a  longer-term view.

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Usha Chirayil
Usha Chirayil
Usha Chirayil is a HR leader and Coach with over 24 years of diverse experience in organizations including GE, Bosch, IBM, KPMG, and Samsung. In her current assignment, she leads the People function at Reflections Info-Systems. She believes that strong people practices can drive business results and believes that coaching, diversity, and talent engagement can make a marked difference.